Tech Majors Urge India to clarify Copyright Rules in Upcoming AI Framework

Image Guideline:
Use a clean, minimalistic image featuring the logos of Microsoft, AWS and Adobe on a neutral background with subtle digital motifs such as faint circuit lines or data flow patterns. The visual tone should be professional and sophisticated, suitable for a business technology news website.


Global technology leaders including Microsoft, Amazon Web Services (AWS) and Adobe have called for greater clarity on copyright and fair-use provisions in India’s forthcoming artificial intelligence framework. The companies submitted their views during ongoing consultations led by the Ministry of Electronics and Information Technology (MeitY) as part of India’s efforts to formalise AI governance under the IndiaAI Mission.

The request comes amid growing global debate over how copyright laws apply to AI model training and content generation. As AI models increasingly rely on large datasets scraped from publicly available material, questions have emerged regarding intellectual property ownership and the balance between innovation and protection.

According to industry sources, the companies have urged policymakers to ensure that India’s AI rules promote innovation while providing clear guidance on the use of copyrighted data in model training. The objective, they said, is to avoid regulatory uncertainty that could hinder research and investment in the country’s AI ecosystem.

Representatives from the three companies emphasised that India’s policy should align with international practices, particularly those in the United States, the European Union and Japan, where limited exemptions or fair-use clauses enable AI developers to train models on publicly available content under certain conditions.

Microsoft, AWS and Adobe are among several global and domestic stakeholders who have participated in MeitY’s consultation process. The IndiaAI Mission, launched earlier this year, aims to establish a governance framework to promote responsible, transparent and human-centric use of AI technologies. The policy discussions have covered ethical standards, data governance, intellectual property, safety mechanisms and regulatory coordination.

The companies reportedly argued that excessive copyright restrictions could slow India’s progress in AI innovation, limit domestic startups and create uneven ground compared to global peers. They advocated for a “balanced approach” that respects creators’ rights while allowing developers to train AI systems responsibly.

An AWS spokesperson noted that the company supports policy clarity that fosters innovation, encourages responsible AI development and benefits consumers. Similarly, Microsoft is understood to have proposed mechanisms for licensing and attribution that would protect creators while maintaining innovation flow. Adobe, which operates in both creative and enterprise AI sectors, has reportedly highlighted the importance of transparency tools and watermarking to identify AI-generated content without restricting legitimate innovation.

The discussion also coincides with global litigation involving AI training data. Several lawsuits have been filed in the US and Europe against AI companies, including OpenAI and Stability AI, over alleged copyright violations. These cases have prompted governments worldwide to examine whether existing copyright laws are adequate for AI-driven technologies.

For India, the issue carries additional significance. The country’s creative and digital industries are expanding rapidly, and policymakers face the dual challenge of protecting creators’ rights while encouraging innovation in a competitive global environment. Experts note that India’s decision could influence the trajectory of its AI economy, which is projected to contribute nearly $500 billion to GDP by 2028.

Industry analysts suggest that India may look to include a fair-use clause within its AI governance framework. Such a clause would permit AI developers to use copyrighted material for training under conditions such as non-commercial use, transparency and opt-out provisions for rights holders. This approach could allow both innovation and creative ownership to coexist.

At the same time, policymakers are cautious about ensuring that the framework does not encourage misuse. Officials familiar with the consultations said the government is studying international models and seeking to create a balanced system that protects intellectual property without stifling growth.

The consultation also touched upon related issues such as data provenance, content authenticity and model explainability. Participants agreed that AI governance should ensure traceability of training data and accountability mechanisms, particularly for models used in critical domains such as media, finance and healthcare.

Legal experts argue that a clear copyright framework would benefit all stakeholders. “Uncertainty around AI data training can deter investment and slow innovation,” said a Delhi-based technology law advisor. “If India provides a transparent, innovation-friendly structure, it can attract global players while enabling domestic startups to scale responsibly.”

The final draft of India’s AI governance guidelines is expected to incorporate these stakeholder inputs. Once adopted, the framework will serve as a reference point for industry and regulators in managing ethical, legal and economic dimensions of AI development.

In summary, the calls from Microsoft, AWS and Adobe highlight the growing need for clarity and fairness in India’s AI policy environment. As the government finalises its governance framework, balancing innovation with creator rights will remain central to ensuring sustainable and responsible AI progress.